Our county officials have at their disposal a very effective tool to minimize the impact of illegal immigration on our community. For example, the Commission could require that employers enroll in E-Verify to receive or renew a business license. Requiring businesses to verify that their employees are eligible to work will eliminate the attraction of jobs for illegal aliens and preserve those jobs for legal residents currently out of work.

What do you think? Do you approve a requirement that employers verify their employees? Do you oppose? Do you need more information?

Most taxpayers do not know that, since at least 2005, the County Commission has adopted deficit tax rates… in other words, the millage rate was artificially lower than was needed to fully fund the budget. This necessitated draws on reserves in most years, a practice that caused the county to be unable to adequately respond to the economic downturn. As a result, a tax increase was the only way to refill the county’s reserves.

There is a right and a wrong way to set the millage rate. By following the procedure for calculating the millage rate that is recommended by the state Department of Revenue, the Commission can ensure that future tax rates take no more and no less from Gwinnett property owners than is required to fund the budget.

There are numerous benefits to following the right procedure. For example, a mathematical millage rate forces politicians to concentrate on reducing costs and identifying non-property tax revenue sources.

While I, personally, do not believe that government should be in the golf business, I recognize that Gwinnett residents have not only not complained about the county’s provision of recreation facilities and programs but have agreed to be taxed a little bit extra to pay for them.

But the golf course has been a losing proposition for many years. The county bought the course for $3.4 million in 1988; apparently spent $1.5 million on upgrades; then “sold” it in 2000 to a newly-formed golf authority at an apparent loss. The authority borrowed another $1.5 million for additional improvements, which the county backed.

The course has never even truly broken even. Although the course paid for its operating expenses and most of the bank loan, it didn’t make a single principal payment on the original purchase price. For the past three years, Collins Hill has not paid a dime—interest or principal—on its original obligation to the county. Last year, in the midst of a failing national economy and a growing financial crisis at home, a majority of the Commissioners agreed to back a $250,000 line of credit to keep the course afloat.

In other words, the Collins Hill Golf Club has never been able to survive without the taxpayers’ help. And there is little chance of that improving. Golf courses are failing or floundering in red ink across the country. The county is not in a position to carry such a high-maintenance facility; especially one for which demand has steadily decreased in recent years. It is highly likely, as well, that the economy will not see any significant recovery for several years.

The County Commission should ask itself one question—if the county was offered or had the opportunity to purchase a golf course today, would it do so? I would hope not. The only reason that the county is back in the golf business now is to keep a deep financial hole from getting deeper.

The county created the golf authority and sold the course because, according to an 8/14 AJC article, “the new authority‚ unlike the county‚ could focus solely on running the golf course. County officials again vowed the course would pay for itself.”

It has not done so, and the County Commission would be foolish to believe that it could operate the course profitably today. It is time to cut our losses and walk away.

One of the Engage Gwinnett committee’s recommendations was to “[d]evelop and implement a workout strategy for the golf course to alleviate future risk associated with the county’s debt obligation.” Here’s my solution:

1. Demand the resignation of all current golf authority members; not for their failure to manage the course but so that a new panel of successful, business-minded individuals can oversee the property’s liquidation;
2. Shut down the facility to minimize operating costs. Provide only that maintenance sufficient to protect the property’s sale value;
3. Sell the facility promptly, if even at a loss. Putting the property back on the tax rolls will, over time, compensate for the short sale. Sell to an entity that has the financial wherewithal to pay; the county should not subsidize the deal in any way;
4. If needed to facilitate the sale, the transaction could be contingent on the rezoning of the property to as low a residential density as reasonable, to minimize the impact of the transition on surrounding properties.

If you have a strong opinion on the future of the golf course, you should let the Commissioners hear your views. You can contact all of the board members with a single email via this contact form.

Gwinnett to repossess golf course  | ajc.com

We’re in tough times, economically speaking. It makes sense to look at every public contract to see if any extra pennies can be pinched. If that is what Gwinnett’s State Court judges were trying to do when it picked a new private probation company, it sure doesn’t look that way.talkgwinnett.com, Gwinnett Judges Exercise Poor Judgment | TalkGwinnett.com, Apr 2010

You should read the whole article.

With the subsidy, Gwinnett property owners became the largest investor in Partnership Gwinnett. Essentially, your money will pay for a consultant to tell the Chamber what is wrong with Gwinnett and how to fix it.

If you own a house worth $200,000, your share of the subsidy to the Chamber is about $1.36.

The money was added to the budget just days before it was approved; it was not in the budget that Chairman Bannister presented to the public on December 1 and about which public hearings were held.

What do you think? Are you pleased to hear that, in the current economic climate, expenditures are being added to the budget without advanced notice?

You can contact the Commission here or register for a user account and post your comments below.

The inclusion of 2010 budget items in this 2009 supplemental millage rate is UNPRECEDENTED and UNNECESSARY. As a result, the tax increase to be passed tonight will be 32% higher than it arguably should be, because of the 2010 items which total $19.8 million.

I also understand that the Commission will pursue none of the proposals in the SaveGwinnett plan regarding fighting illegal immigration, identifying non-property tax revenue and imposing stronger ethics standards on the Commission.

You should contact the Commission IMMEDIATELY via the link below (the public hearing begins at 7 pm). Please send them the following paragraph:

“I support the SaveGwinnett Plan. Specifically, I do not want you to include 2010 budget items in this 2009 millage rate increase. I am watching the results of this vote closely; it will affect how I vote in future Commission races.”

The public hearing and vote is scheduled for tonight, 7:00 pm at the Gwinnett Justice and Administration Center auditorium, 75 Langley Drive in Lawrenceville.

More commentary: http://www.talkgwinnett.com

The increase was also going to pay, however, for some pretty important stuff– the equipping and staffing of three new fire stations; 58 new police officers and equipment; the reestablishment of the Quality of Life unit; and several prosecutors and investigators in the District Attorney’s office. (Pictured: Station 30 on Ozora Road in Loganville-Grayson; finished but empty)

Not only are those items in jeopardy, but the rejection of the earlier increase also necessitated additional service cuts beyond those already incorporated into the budget. For example, early retirements and layoffs have cut “back office” functions, like general administration and Planning & Development, to the bone, even after 108 positions had been eliminated in the initial budget. A planned pay raise has been abandoned as well.

The revised proposal will restore most of the cuts in public safety and the courts. In addition, it will fund the 287(g) illegal alien identification and deportation program which began on Monday at the county jail. Equally as important to some, but not all, is funding to restore reductions in library hours and open a new branch in Hamilton Mill; and pay for ballpark lights and field maintenance, expenses that are currently being borne by the county’s youth associations.

You can find a line-by-line accounting of what will and will not be funded by an increase at SaveGwinnett.com . I provide a little more detail here .

The millage increase that will be approved or disapproved on December 1 is not without its concerns. I believe that it can be reduced by as much as 32% (to as low as 1.55 mills from 2.28) by eliminating just two line items. You may oppose the increase in its entirety, but even if you favor the funding for public safety, the courts and recreation, you should question these expenditures.

Solving 2010 Problems With 2009 Tax Dollars

The tax increase includes two items totaling approximately $18.77 million, about one-third of the total hike:

2010 Deficit Reduction: Even with all of the budget cuts imposed earlier in the year; with additional cuts and deferments planned for 2010; and even if funding for public safety and recreation are restored, there remains a deficit of $9.7 million projected for next year. The Commission proposes to “pre-collect” enough revenue with this increase to mitigate or eliminate that shortfall.

Reduction in 2010 Digest: The Net Tax Digest (the value of all taxable property in the county) is projected to suffer another significant decline in 2010. This year, the residential side of the Tax Digest declined by over $1.5 billion in taxable value. In 2010, the weak economy is projected to hit commercial values, with the resulting loss in tax revenue projected to be $9,070,818. The County Commission seeks to compensate for the loss with this millage increase.

To my knowledge, the plan to address future year budget issues of this type with a current year tax increase is unprecedented. In my opinion, it is also unnecessary and ill-advised.

“Engage Gwinnett” Neutered

The “Engage Gwinnett” Committee, of which I am a member, has been charged with examining 2010 service levels and revenue sources, with the goal of helping to formulate a balanced budget that serves the needs of the community in a cost-effective manner. The combined 2010 deficit of $18.77 million is at the core of our committee’s charge. Our success will be measured by the reduction or elimination of this disparity between revenue and expenses.

While the Commission’s plan to address 2010 problems with 2009 tax dollars does not alter our process, it does eliminate a potential benefit of our recommendations– allowing the taxpayer to keep more of his money in his pocket. Even worse, the inclusion of these items in the millage increase tends to confirm an unjustified, but very real perception– that the Engage Gwinnett committee is a sham effort designed to give cover to politicians who just want to raise taxes.

The “pre-payment” of property taxes– especially in the current economic and political climate– will be difficult to explain. I cannot stand before the taxpayers next year to tout the committee’s plan to eliminate the 2010 deficit, only to have the taxpayers reply, “It doesn’t matter; we’ve already paid it.”

The inclusion of these items in the 2009 millage increase is no small matter– the proposed increase could be reduced to between 1.55 and 1.75 mills. The owner of a $200,000 home would see his portion of the tax increase lessened by as much as $73.

Speaking of `Political Cover…`

While I understand the desire to address 2010 problems now (there is always comfort in having money in hand), the decision to do so is purely political. The level of the tax rate is set by politicians, elected officials who usually want to be reelected. Sadly, the millage rate often has only a minimal relationship to the actual cost of your government.

Just as the County Commission adopted deficient tax rates for the past four years– contributing to the county’s current financial instability– purely for political gain, the Commission now proposes to OVER-tax you this year, simply to avoid the political ramifications should they have to impose a tax increase two years in a row.

The solution is simple– let’s worry about 2009 problems in 2009, and 2010 problems when– and IF– they arise. Let’s let the Engage Gwinnett citizen committee do its job. Then, if another tax hike is required in 2010, it will come only after the committee has given its best effort.

Your Weekend Assignment

I strongly encourage you to review the budget documentation, especially if you plan to attend the public hearings or contact the Commissioners. A reasoned and educated opinion always carries greater weight than an angry, uninformed rant.

As you might suspect, I have a very strong opinion about what the County Commission should do on December 1, the date of the final public hearing and vote on the millage increase. I plan to share that with you before Monday, November 23, when the first two public hearings will be held.

Gwinnett taxpayers are in no mood for a tax increase. Little has changed from the summer when hundreds of citizens rallied in Suwanee to denounce it.

Over the next two weeks, I plan to analyze various aspects of the tax hike proposal– how we arrived at this place in time; what is included in the increase and what is not; what is right about it and what is wrong.

If you’re totally against a tax increase, you face an uphill battle. The reality is that there are already enough votes to pass the tax hike as proposed. Chairman Bannister has signaled that he will support it, as has Kevin Kenerly, who isn’t running for reelection. Shirley Lasseter is a sure second vote for Bannister; Bert Nasuti is also a lame duck but is open to reason. Only Mike Beaudreau is expected to oppose it.

There is, however, plenty about this proposal to criticize. As I will explain, the increase could be reduced by 32% and still fund the full restoration of service levels for this year.

Our best bet, then, may be a reasonable compromise, which may not be a bad thing. For example, the increase will fund 58 police officers at a time when the headlines speak of drug cartels and home invasion robberies. I am ambivalent, on the other hand, about whether the recreation items should be restored; ballfield lights aren’t “essential” except, maybe, for ensuring Kevin Kenerly’s support of a compromise.

The first public hearings on the tax hike proposal are planned for November 23 with a vote scheduled for December 1. We have a couple of weeks to begin steering this in the right direction, but it can only happen with your involvement.

Do this now: forward this article to your neighbors or send your Gwinnett contacts a quick email referring them to the subscription form at www.bobg.biz/u/subscribe . This series of articles will likely be the only source of detailed info on the increase that isn’t published by the county. You and I have influenced the Commission to do the right thing in the past, and we can do it again.

Myths and Misconceptions

Since I tend to be a bit long-winded, I plan to break this topic into several digestible chunks. The first chunk– dispelling several misconceptions about county finances, taxes and spending that tend to prevent intelligent conversation from occurring.

`The Stadium Helped to Put Us in this Hole`

Actually, the Gwinnett Braves’ stadium has virtually no relationship to this millage increase proposal. The stadium’s construction was financed from three funding sources– a draw on the Recreation Fund balance (reserves); a draw on the General Fund balance (reserves); and the sale of bonds to generate additional capital.

Further, the stadium essentially pays for itself through the lease by the Braves, parking, a rental car tax and more. No property tax dollars have been used to support the stadium.

`My Taxes Keep Going Up`

It may be true that your property tax bill has increased over recent years, but it isn’t because of the county property tax. The county portion of the total millage rate has actually decreased every year since 2003, a net total of 3.98 mills since 1996. In 2008, the county tax rate was the lowest it has ever been.

“But my assessed value keeps rising,” you might counter. On your primary residence, however, a higher assessed value has no impact on your tax bill. The Value Offset Exemption (VoE) increases each year by the same amount that your assessed value increases. In other words, you are paying county taxes on the same assessed value as the year when you bought your home, unless you have improved it.

If your tax bill has increased over the past five years, it is most likely because the VOE does not apply to your assessed value for school, city or state property taxes or because your city tax rate has increased (if you live in a city).

Also, for this year the state did not fund the Homeowners Tax Relief Grant which, in years past has decreased your total tax bill by $250 to $300.

`The Sanitation Dispute`

The county’s fumbling on the sanitation plan, while unfortunate and maybe even evidence of incompetence, has no bearing on the proposed tax increase.

`The Commission Has Wasted Tax Money on Unnecessary Land Buys at Inflated Prices`

The Commission has generated controversy recently regarding several recent land deals to the point that a special Grand Jury has been authorized to investigate.

The purchases were made not with property tax dollars, however, but with money from the Special Purpose Local Option Sales Tax (SPLOST) fund which can be used for such purposes. There is no direct connection between this tax hike and the recent land buys.

`The Budget Is Full of Pork… Cut More!`

Contrary to popular perception, Gwinnett County has an exceptionally lean budget for a county of its size. Over the past year, drastic cuts have been made in anticipation of difficult economic times.

`Back office` staffs (administration) has been cut to the bone. Subsidies to non-profit community organizations represent a miniscule fraction of the total budget. The county has fewer employees per capita than most comparable counties in the Atlanta area and beyond.

As a side note, the Commissioners’ salary ($50K for the Chairman, $25K for District Commissioners) represents 0.00016808606 of the 2009 operating budget. If the Commissioners were to forego their salary this year, you would save a whopping forty-one cents on your property tax bill.

There may be ways to trim costs and the Engage Gwinnett committee (of which I am a member) will be looking at those closely over the next five months. For 2009, however, the budget is as lean as it can be. The task now is figuring out how to pay for it.

`Chairman Bannister’s Incompetence Has Created This Crisis`

That isn’t a myth; that is true, in my opinion. The County Commission under Bannister could have easily mitigated the current financial crisis. However, focusing on the causes doesn’t solve today’s problem.

Your Homework Assignment

Our county government has put an incredible amount of information online about the budget and tax hike proposal. You will find much of it linked from the “Resources” page at www.SaveGwinnett.com. The web site for the Engage Gwinnett committee (www.engagegwinnett.com) takes you to additional info.

Be sure to check out the presentations by county Finance Director Aaron Bovos and Director of Economic Analysis Alfie Meek linked at http://www.engagegwinnett.com/topics.htm . If you can muster the energy, watch the video of the presentations as well.

Finally, watch the video from the presentations by various department heads to the county’s Budget Committee: http://bobg.biz/u/budgetvid . Pay particular attention to the presentations by the District Attorney and other law enforcement and court officials.

While you’re at it, follow SaveGwinnett on Twitter (www.twitter.com/savegwinnett) or find SaveGwinnett on Facebook. Be sure to bookmark TalkGwinnett.net and TalkGwinnett.com.

Your Feedback Needed

You are invited to send your questions and comments to me at bobg@talkgwinnett.com.  You can also submit questions through SaveGwinnett.com or to questions@savegwinnett.com . You can contact the Commissioners through SaveGwinnett.com as well. This and future articles will also be published at SaveGwinnett.com where you can register for a free user account and post your comments.

Citing the ongoing dispute with Gwinnett’s 15 cities over the delivery of services, the County Commission refused to adopt a 2009 tax rate, delaying the collection of all 2009 property taxes. By order of a Superior Court judge, the school system, all municipalities and the county were authorized to begin collection of property tax revenue using last year’s county tax rate.

In early October, Commissioner Kevin Kenerly revived the discussion of a millage rate increase. Under the direction of Chairman Charles Bannister, the county staff developed the proposal discussed here. After several public hearings, the Commission is expected to adopt a final 2009 tax rate which may include the proposed increase.

The Proposal

The plan includes restoration of service levels and additional expenditures equivalent to a millage increase of 2.28 mills over the 2008 county rate of 10.97. The increase can be broken into four major areas:

• Public Safety and the Courts;
• Non-Public Safety General Fund expenditures;
• Recreation;
• Other “Service Level Additions”

Public Safety and the Courts

The proposed increase would restore several departments and offices to their March 3 service level. Those offices include the Clerk of Courts, Judiciary, Juvenile Court, Sheriff, Tax Commissioner and District Attorney, among others.

The funding for the Sheriff’s Department includes full 2010 funding for the 287(g) program. Public Safety funding under this increase also includes the opening of three fire stations; firefighter gear; 58 new police officers; Quality of Life (property maintenance) personnel (this increase reestablishes that department); new police vehicles; and other public safety expenditures.

The increase will also keep the county’s Comprehensive Corrections facility open and operating at the March 3 service level.

Other General Fund Expenses

The proposed millage increase would fund the following General Fund services:

• Restoration of full 2009 funding for libraries, including the new Hamilton Mill branch. Libraries will operate at equal service levels, anticipated to be 56 to 62 hours weekly;
• Right-of-way mowing;
• Senior Services Case Manager position;
• Community Services subsidies including Association of Retarded Citizens, Barrier Free Gwinnett, Board of Health, Children’s Shelter, Council for Seniors, DFACS, Human Services Coalition, Indigent Medical Care and Mental Health;
• Other General Fund expenditures.

The General Fund portion of the proposed millage increase is 2.06. Public Safety and Court expenditures represent approximately 90% of the additional General Fund operations spending and approximately 47% of the total millage increase.

Recreation

The Recreation Fund is separate from the General Fund and is funded by a separate millage rate. The proposed increase will reinstate recreation and park maintenance programs. It will also fund the opening of certain facilities. The proposed increase will fund:

• Reduction or elimination of fees to youth athletic associations for utility charges (lights, concession buildings, water, etc.);
• Restoration of five full-time grounds maintenance personnel;
• Restoration of turf management program;
• Full-time custodian for Historic Courthouse;
• Seven-day operations at all aquatics centers, Dacula seasonal pool in 2010;
• Restoration of full-time Recreation Leader at Collins Hill Aquatics Center;
• One full-time Recreation Supervisor at Rhodes Jordan Community Center;
• Annual lighting of Christmas Tree and holiday hours at Historic Courthouse;
• Capital spending for parking/trail resurfacing, parks’ painting, fence replacement, signage, tennis court resurfacing, drainage improvements, etc.;
• Re-establishment of SPLOST capital program including Rhodes Jordan Park renovation, Bryson Park (design), Rabbit Hill Park soccer expansion, Isaac Adair House and Stone Mountain Tennis Center, among others.

Other “Service Level Additions”

The proposed increase includes several other items not directly related to General Fund or Recreation Fund expenditures:

• 2010 Deficit — The 2010 budget is projected to have a deficit of $9,700,000. The County Commission seeks to eliminate the deficit with this millage increase;
• Reduction in Digest — The Net Tax Digest (the value of all taxable property in the county) is projected to suffer a significant decline for 2010, particularly in the value of commercial property. The County Commission seeks to compensate for the projected decline with this millage increase;
• Accrued Liabilities — The County Commission seeks to fund $3,706,476 in accrued liabilities with this millage increase;
• Contingency — The County Commission seeks to add $350,000 to the county’s fund balance (“rainy day” fund or reserves) with this millage increase.

The proposed increase also includes 0.01 mills for the General Obligation Bond fund (debt reduction).

Additional Notes

This summary does not detail all proposed restorations and service enhancements. Please refer to the documentation posted on the Resources page for more information.